Good news for Norwich Union endowment mortgage holders
Endowment mortgage customers of Norwich Union may have something to look forward to. The company has announced that £2.1 billion will be available to policyholders as a result of the freeing up of a significant part of the inherited estate.
This news will be welcomed by the many mortgage endowment customers of Norwich Union facing a shortfall. Generally, to qualify for a payout policyholders will need to have held an endowment or other with-profits product on January 1. Norwich Union will be contacting qualifying policyholders to give them more detailed information. The bonus will be used to enhance policy values by around 10 percent in total and will be paid in three instalments. To qualify for the second and third instalments, policies will need to be in force at 1 January 2009 and 1 January 2010 respectively. Mark Hodges, chief executive of Norwich Union Life, said “This special bonus is a major boost to policy values.”
Figures give by Norwich union claim that A 25 year endowment policy taken out in 1985 with a £50 monthly premium would see a total special bonus added of £3,735. For those with endowment mortgages the company stated that the terms of the mortgage promise are not changed by the payout.
July 2nd, 2008 at 5:29 am
I have a Norwich union policy that pays out next month, and is is as clear as mud if it will pay out the promised amount? or even pay my morgage? this is putting us as a family under an appalling amount of stress and worry, as we feel that in our mid forties we will have to start an other mortgage at a time that we can least afford it?
August 14th, 2008 at 5:42 am
My NU policy is maturing this month.
Do I qualify for yhis special bonus?
Regards
Diwan
August 14th, 2008 at 6:22 am
@Diwan Bhandari - You would need to contact Norwich Union directly to see if you qualify. Their contact page is http://www.norwichunion.com/existing-customer/life-insurance.htm which gives UK and international contact numbers